ITC: Driving Public-Private Collaboration for Water Conservation in India
| Case Code: CSRS014 Case Length: 14 Pages Period: 2021-2022 Pub Date: 2023 Teaching Note: Available |
Price: Rs.300 Organization: - Industry: Diversified, Manufacturing Countries: India Themes: Corporate Social Initiatives, Community Involvement ,Corporate Responsibility,Stakeholder Management |
Abstract Case Intro 1 Case Intro 2 Excerpts
Excerpts
ITC’S Watershed Development Initiatives
In 2001, ITC launched its integrated watershed development programme with the stated objective of developing, reviving, and maintaining rainwater harvesting structures to increase agricultural productivity, prevent/reverse land degradation, and improve irrigation, thereby increasing water use efficiency and creating sustainable livelihoods for small and marginalised farmers..
Collaborative Problem-Solving at ITC’S PSPD Division
ITC’S paperboards and specialty papers division (PSPD) factory in Kovai (Coimbatore), Tamil Nadu, a southern state of India, was one of the company’s high water risk sites and hence was selected for the installation of AWS standards. The PSPD factory sourced water from the Upper Bhavani River basin stream which was prone to risks such as inconsistent rainfall, water intensive cropping patterns, declining groundwater table, and unsustainable water usage..
Raining Recognition
In 2019, the PSPD division received an AWS standard platinum certificate for ITC’s water stewardship efforts (See Exhibit V for how the AWS standard was implemented at PSPD). It was the second facility in the world and first in India to receive the AWS platinum level certification, the highest recognition for water stewardship in the world..
Other Benefits
ITC’s integrated watershed development programme benefited farmers by enhancing crop yields and expanding the area of cultivation. In addition to this, the initiative led to efficiency in water usage. The initiative led to an improvement in soil fertility and enough water for irrigation. This resulted in farmers growing more than one crop every year, thereby increasing their incomes..
The Challenges
While ITC received appreciation from several quarters for its integrated water stewardship measures through collaborative problem-solving, the company had to face the challenge of building trust with multiple stakeholders in the catchment areas since it was a prerequisite for collaboration..
Looking Ahead
In Financial Year 2021-22, ITC’s total water intake stood at 33.7 million kilolitres (kl), a 6% increase from FY2020-21, though there was a 24% decrease in production at the PSPD (See Exhibit VI for progress in water intake at ITC’s businesses)..
Exhibits
Exhibit I: Consolidated Profit & Loss Statement of ITC (in INR billions)
Exhibit II: ITC’s Collaborative Watershed Development Program
Exhibit III: Collaborations by ITC’s PSPD for Watershed Development Interventions
Exhibit IV: IWRAs in Catchment Area at ITC’s PSPD
Exhibit V: Implementing the AWS standard for ITC’s PSPD factory
Exhibit VI: Progress in Water Intake by ITC’s Businesses
Exhibit VII: ITC’s Water Stewardship Goals
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